British energy company Drax has announced plans to purchase three battery energy storage system projects from Yorkshire-based developer Apatura, representing a total capacity of 260MW.
The deal, valued at £157.2 million, will be paid in staged payments spanning 2025 to 2028, with payments linked to construction progress and project delivery milestones. Completion of the first two facilities is anticipated during 2025, while the final project is scheduled to close in early 2026.
The battery storage portfolio features 260MW capacity with two-hour duration capabilities, totaling 520MWh across three locations - two facilities in Scotland and one in northern England. Construction work is planned to begin in 2026, with the initial site expected to become operational in 2027.
"This acquisition is our first investment in short-duration storage as part of our FlexGen portfolio," said Will Gardiner, CEO, Drax Group. "In combination with our long-duration energy storage, flexible generation and renewable generation from biomass, we will be able to provide 4.4GW of dispatchable generation to meet demand."
The purchase will be financed using available cash reserves and current credit facilities, supporting Drax's FlexGen strategy focused on expanding short-term, rapid-response energy storage capabilities. Additionally, Drax has secured options on eight additional Apatura development sites with combined capacity of 289MW.
Currently, Drax's FlexGen division operates long-term pumped storage facilities, hydroelectric plants, and open cycle gas turbines, but lacks short-duration battery storage assets. The company considers these two-hour duration systems a crucial gateway into rapid-response energy storage markets.
When these battery projects become operational, they will expand Drax's FlexGen capacity to 1.8GW distributed across nine locations throughout the UK. Combined with the 2.6GW capacity at Drax Power Station, this will deliver a total of 4.4GW of on-demand generation capability.
